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Integrated coal-chemical producer making urea, DMF, polyols and acetic acid via multi-generation coal gasification.
Integrated coal-chemical producer making urea, DMF, polyols and acetic acid via multi-generation coal gasification.
Gasifies coal into synthesis gas and turns it into chemicals, so earnings are the difference between selling prices for urea, solvents and polyols and the cost of coal. The plants run continuously, so utilisation matters, and several products come from one feedstock.
In one line: A Chinese coal-to-chemicals integrated producer.
Moat: narrow (scale, cost advantage, process know-how). Proprietary multi-generation coal-gasification technology lowers feedstock costs versus peers.
Headquarters: Dezhou, China · Founded: 1996 · Employees: 6,174
Size Shandong Hualu-Hengsheng Chemical (600426.SS) is a China Materials company (Chemicals: Specialty) with a market value of $8.27B, the 303rd largest of 4,839 China companies the cockpit tracks. Shares closed at CN¥20.12 on 6 Nov 2026.
Performance Over six months the shares fell 32.1%, against -11.8% for the median peer and -16.4% for the China market (cap-weighted) — 6th lowest of 21 in its peer set.
Growth Revenue grew 3.3% over the last twelve months (peer median +9.2%); the operating margin is 16.1% (peer median 13.9%).
Valuation It trades at 12.3× forward earnings against a peer median of 17.4× (8th cheapest of 19).
Price implies For today's price to make sense, revenue must grow about -3% a year for seven years (Req g). Recent delivered growth is +19%, so the hurdle is -21 pp: the price already allows for a slowdown.
Capital Return on invested capital runs 5.2 points above its cost of capital (7.0% WACC).
Next results Next results expected around 29 Mar 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | CN¥33.7B | CN¥30.9B | CN¥34.1B | CN¥27.1B | CN¥30.1B |
| Revenue growth | — | -10% | +26% | -10% | — |
| Gross profit | CN¥9.86B | CN¥5.69B | CN¥6.21B | CN¥5.43B | CN¥8.54B |
| EBITDA | n/a | CN¥7.75B | CN¥8.04B | CN¥6.40B | CN¥9.17B |
| Net income | CN¥4.11B | CN¥3.32B | CN¥3.90B | CN¥3.58B | CN¥6.29B |
| Free cash flow | CN¥944M | CN¥548M | -CN¥113M | -CN¥3.97B | CN¥67.8M |
| Capital expenditure | CN¥3.42B | CN¥3.65B | CN¥5.08B | CN¥8.71B | CN¥6.97B |
| Total debt | CN¥11.1B | CN¥11.3B | CN¥10.4B | CN¥8.54B | CN¥3.96B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| Shandong Hualu-Hengsheng Chemical 600426.SS | $8.27B | -32% | +3% | 16% | 12.3× | -2.5% |
| Ningxia Baofeng Energy 600989.SS | $23.4B | -31% | +35% | 35% | 8.4× | -7.8% |
| Wanhua Chemical 600309.SS | $34.1B | -19% | +37% | 11% | 11.3× | -2.6% |
| Sichuan Meifeng Chemical Industry 000731.SZ | $509M | -14% | -13% | -6% | n/a | n/a |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | 600426.SS | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +1.5% | -7.0% | 7th highest of 21 |
| 6-month return | -32.1% | -11.8% | 6th lowest of 21 |
| Distance from 52-week high | -40.7% | -30.3% | 9th lowest of 21 |
| Revenue growth (TTM) | +3.3% | +9.2% | 9th lowest of 21 |
| Operating margin | 16.1% | 13.9% | 8th highest of 21 |
| Forward P/E | 12.3× | 17.4× | 8th cheapest of 19 |
| Growth the price implies (Req g, 7 yrs) | -2.5% | 10.1% | 4th least demanding of 17 |
| Growth delivered (Del g) | +18.7% | +10.9% | 6th highest of 17 |
| Hurdle (Req g minus delivered) | -21.3 pp | -0.8 pp | 4th least demanding of 17 |
| ROIC minus cost of capital | +5.2 pp | -0.1 pp | 5th highest of 21 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| Shandong Hualu-Hengsheng Chemical 600426.SS | China | $8.27B | -32% | +3% | 16% | 12.3× | -2.5% | +18.7% |
| Westlake WLK | United States | $8.11B | -32% | 0% | 1% | 38.6× | 37.4% | +8.3% |
| Guangzhou Tinci Materials Technology 002709.SZ | China | $8.73B | -53% | +102% | 19% | 10.3× | 9.3% | +32.3% |
| Tianqi Lithium 9696.HK | Hong Kong | $8.79B | -64% | +116% | 57% | 5.0× | -10.8% | +25.3% |
| Eastman Chemical EMN | United States | $7.37B | -13% | 0% | 10% | 10.2× | 5.1% | +0.7% |
| Ganfeng Lithium 002460.SZ | China | $9.71B | -57% | +128% | 18% | 11.5× | 4.4% | +33.1% |
| Croda International CRDA.L | United Kingdom | $6.88B | +31% | +3% | 16% | 23.3× | 19.9% | +4.1% |
| SOL SOL.MI | Italy | $6.39B | +6% | +9% | 14% | 30.5× | 16.9% | +12.8% |
| NewMarket NEU | United States | $6.39B | +1% | +1% | 20% | n/a | -0.8% | +6.3% |
| Haohua Chemical Science & Technology 600378.SS | China | $6.29B | -9% | +20% | 9% | 22.1× | 11.0% | +25.2% |
| Swancor Advanced Materials 688585.SS | China | $10.9B | +50% | +3% | -25% | n/a | n/a | n/a |
| Linde India LINDEINDIA.NS | India | $6.20B | -13% | +13% | 22% | 97.2× | 47.9% | +11.5% |
| Formosa Chemicals & Fibre 1326.TW | Taiwan | $11.1B | +21% | -5% | 1% | 21.0× | 26.2% | +2.5% |
| Shenzhen Capchem Technology 300037.SZ | China | $6.16B | -21% | +72% | 13% | 19.0× | 19.3% | +26.6% |
| Inner Mongolia Junzheng Energy & Chemical 601216.SS | China | $5.92B | -16% | +3% | 11% | 12.0× | -3.4% | +11.3% |
| Albemarle ALB | United States | $11.7B | -51% | +18% | 14% | 11.3× | 10.9% | +10.4% |
| Kingboard 0148.HK | Hong Kong | $5.78B | -17% | +19% | 15% | 5.0× | n/a | n/a |
| Nissan Chemical 4021.T | Japan | $5.72B | 0% | +10% | 23% | 15.9× | 9.3% | +6.0% |
| Zhejiang Longsheng 600352.SS | China | $5.70B | -11% | -1% | 19% | 13.7× | -5.2% | -3.1% |
| Coromandel International COROMANDEL.NS | India | $5.69B | -7% | +24% | 8% | 27.3× | n/a | n/a |
| Formosa Plastics 1301.TW | Taiwan | $12.1B | +22% | -11% | -2% | 21.4× | n/a | n/a |